TGS

TGS (‘Transportadora de Gas del Sur S.A.’) is the most important gas transportation company within the country, and it operates the biggest pipeline system in Latin America. It is also a leading company in the production and commercialization of NGL (‘natural gas liquids’) for both domestic and export markets, conducting this business from the General Cerri Complex located in Bahía Blanca, Province of Buenos Aires. TGS also provides comprehensive solutions in the natural gas area and, since 1998, it has also landed in the telecommunications area through its controlled company Telcosur S.A.. As of December 31, 2017, Pampa holds a 25.5% indirect interest in TGS through CIESA (‘Compañía de Inversiones de Energía S.A.’).

The following charts summarizes the technical and financial information of TGS:

Technical Data

2016

2017

Gas Transportation

Average firm capacity contracted (in million m3 per day)

79.5

79.1

Average deliveries (in million m3 per day)

66.7

66.0

Production and commercialization of liquids

Total liquid production (in thousand ton)

939.4

908.9

Gas processing capacity (in million m3 per day)

47.0

47.0

Storage capacity (in ton)

58,988

58,988

Financial Data(1)

2016

2017

Revenues

7,402

12,247

Fiscal year‘s results

931

2,793

Assets

8,931

13,667

Liabilities

6,405

8,347

Shareholders’ Equity

2,526

5,320

(1)Consolidated annual financial statements under IFRS figures, in million pesos. Even though this data comprises the full fiscal years 2016 and 2017, the reporting under IFRS of our affiliate TGS in Pampa’s financial statements started as from the closing of the acquisition of Petrobras Argentina in August 2016.